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Tax & Mileage question

Hello,

Just a quick one my employer pays 25p per mile for our travel I know the government pays 45p per mile am I correct in thinking you can claim the extra 20p at the end of the tax year in terms of tax relief? If so I could make a lot of people at work very happy.

Thanks

Comments

  • pjclar02
    pjclar02 Posts: 437 Forumite
    If you are using your own car for business purposes, and they are paying 25p per mile. For the first 10,000 miles you can the claim tax relief on the difference between the 45p HMRC rate and the 25p rate paid to you.


    You do not get 20p per mile from HMRC, but you get tax relief on the 20p at your marginal rate of tax
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